RBI Cuts Charges of Online Fund Transfer up to Rs.10,000

The Reserve Bank of India (RBI) slashed charges of online/electronic transfer of funds for amounts up to Rs.10,000. This would come into effect from August 1, 2012. RBI in its notification said that, the transfer of funds up to Rs.10,000 through NEFT (National Electronic Funds Transfer) system will attract maximum charge of Rs.2.50 per transaction. However, charges for beyond the limit of Rs.10,000 will remain unchanged.

As per the existing fee structure, online fund transfer of up to Rs.1 lakh attracts a maximum charge of Rs.5 per transaction. Thus, the charges for fund transfer beyond Rs.10,000 and up to Rs.1 lakh will be Rs.5 per transaction.

Further, the charges for fund transfer beyond Rs.1 lakh and up to Rs.2 lakh will be retained at Rs.15 per transaction.

This decision of slashing rates by RBI is to promote cashless transactions and incentivise greater use of the electronic payment system.